Y L F M A E T Team-Fly® S I X S I G M A TEAM DYNAMICS The Elusive Key to Project Success GEORGE ECKES JOHN WILEY & SONS, INC. S I X S I G M A TEAM DYNAMICS S I X S I G M A TEAM DYNAMICS The Elusive Key to Project Success GEORGE ECKES JOHN WILEY & SONS, INC. Copyright ©2003 by George Eckes. All rights reserved. Published by John Wiley & Sons, Inc., Hoboken, New Jersey. Published simultaneously in Canada. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, (978) 750-8400, fax (978) 750-4470, or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748-6011, fax (201) 748-6008, e-mail: [email protected]. Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. The publisher is not engaged in rendering professional services, and you should consult a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages. For general information on our other products and services please contact our Customer Care Department within the U.S. at (800) 762-2974, outside the United States at (317) 572-3993 or fax (317) 572-4002. Wiley also publishes its books in a variety of electronic formats. Some content that appears in print may not be available in electronic books. Library of Congress Cataloging-in-Publication Data: Eckes, George, 1954– Six sigma team dynamics : the elusive key to project success / George Eckes. p. cm. Includes bibliographical references and index. Bookz ISBN 0-471-22277-1 (CLOTH : alk. paper) 1. Teams in the workplace. 2. Project management. 3. Leadership. I. Title. HD66 .E324 2002 658.4′04—dc21 2002006584 Printed in the United States of America. 10 9 8 7 6 5 4 3 2 1 To my dear Uncle Joseph Della Malva, it has been an honor being a part of your “team.” And to the memory of my sister, Adrienne. You left our “team” too soon. Foreword As the Business Leader for Household Retail Services, I have become keenly aware of the impact Six Sigma, as a management philosophy, can have in managing a business. Both in my current responsibilities and in my previous career at General Electric, I have seen the power of Six Sigma firsthand in helping my organization improve both its effectiveness and efficiency. We have embraced Six Sigma at Household Retail Services since early 2001. Having worked with George Eckes at General Electric, I knew he had a results-driven approach. Since Household Retail Ser- vices contracted with Eckes and Associates Inc., we have had impres- sive success. A key ingredient in our success was embracing Six Sigma as a man- agement strategy. Beginning in the spring of 2001 we created our Six Sigma Business Process Management System. My management team and I aligned our core and subprocesses to our business objectives and began to collect data on measures of both effectiveness and efficiency. By the summer of 2001, we had selected nine low-performing, high- impact projects for improvement. Over the course of the next six months, George Eckes and his staff trained our project improvement teams to apply Six Sigma tactically. By year-end 2001, we were cele- brating our first round of successes. These successes included reduc- ing dispute resolution from an average of 38 days to less than 3, and dramatically reducing incidences of fraud. Which brings me to the topic of George’s third book on Six Sigma, Six Sigma Team Dynamics: The Elusive Key to Project Success.The tools vii